Energize, a program that increases access to renewable electricity for the pharmaceutical supply chain facilitates collaboration and partnership between the 20 sponsor companies and their participating suppliers. Together they are addressing both current and future challenges and the direct and indirect health crisis faced by climate change, by transitioning to renewable electricity. The program is designed to assist companies of all sizes in overcoming the typical barriers to renewable electricity procurement. These barriers include limited knowledge about renewable electricity transactions, issues with load size, credit challenges, and the need for guidance throughout complex contracting processes. Energize gives suppliers the opportunity to engage in the market for renewable electricity procurement, a critical step towards decarbonization.
This article is the third in a series of interviews with suppliers participating in the Energize program. We interviewed Sangita Rana, the Global Leader of Environmental Sustainability at Labcorp to learn about the company’s decarbonization strategy and how the Energize program is helping them meet their decarbonization goals.
Sustainability at Labcorp
Labcorp, a global life sciences company, and Energize participant, believes human health and environmental health are interconnected. Labcorp continues to actively evaluate its operations to understand how to mitigate the unintended adverse environmental impacts caused by its operations.
Q: From your professional experience and your experience at Labcorp what steps can you recommend to help companies of all size get started with sustainability?
A: Sustainability can be achieved regardless of company size. What is important is to take a holistic approach and integrate sustainability into decision-making across the company. It all starts with understanding the current state to identify existing initiatives and recognizing successes that can be adopted and readily built upon.
We consider this to be “fruit on the ground.”
We often talk about “low-hanging fruit” but, in sustainability, where there may be several activities underway or in place, yet disconnected, it’s valuable to recognize how important they can be towards creating momentum, movement, and accelerating change.
Q: What are some of your specific goals for decarbonization? How do those goals align with the Energize program?
A: Using 2020 as a baseline we aim to achieve a near-term goal of increasing renewable electricity use by 25% by 2025. In addition, we have SBTi-approved 2030 Science Based Targets for Scope 1,2 and 3 greenhouse gas emission reduction. As a global company, Labcorp recognizes that it is unlikely that these goals and target planning will be a “one size fits all” solution. Rather, they will be achieved by balancing available options. Programs like Energize will not only help us toward our goals, but also enable Labcorp to collaborate with our clients and industry leaders, like Schneider Electric, creating opportunities to gain access to green electricity and, as a result, promote the greening of the grid.
Q: What are some major milestones that Labcorp has achieved along its decarbonization journey?
A: Standardizing and organizing our data was a significant accomplishment and critical to our Corporate Responsibility Report, and the establishment of near-term (2025) and longer-term (2030) goals. By establishing near-term goals for renewable energy and fleet fuel efficiency, we were able to create awareness, build support and momentum as we took the time required to develop SBTi accepted Science Based Targets.
Q: What do you think is a common misconception about adopting renewable electricity?
A: Reliability, particularly during peak hours and severe weather conditions.
Through our experience with Energize and Schneider Electric, we recognized it is possible to transition and contract for renewable electricity without interrupting supply reliability to operations. For mature markets like Europe and North America, companies can adopt renewable electricity in a cost-effective way.
Updates from Energize
The transition to renewable electricity by Energize sponsor companies and their suppliers represents a commitment to the long-term investment in reducing greenhouse gas emissions. Energize has now formed five buyer’s cohorts for power purchase agreements (PPAs) since its inception at COP26 in 2021. The cohort model enables participants to collectively pursue renewable electricity at scale, which is particularly beneficial for companies that face challenges contracting for a PPA independently. Four sponsor companies and 16 suppliers have joined the five cohorts which will bring new renewable electricity to the grid across North America, the U.K., and the EU. To learn more about the Energize program milestones read the latest news article here.
To learn more about Energize and how companies can get involved with our network, visit https://hub.zeigo.com/energize.
Check out the first two articles in this series:
Part 1: Thermo Fisher sheds Light on Their Renewable Energy Transition
Sangita Rana, Global Leader of Environmental Sustainability at Labcorp
Labcorp is a global leader of innovative and comprehensive laboratory services serving clients in 100 countries around the world. Sangita has an MS in Environmental Engineering from Southern Methodist University and a BS in Civil Engineering from Nepal Engineering College. Sangita has been in the Environmental Sustainability field for over 16 years and is recognized for groundbreaking work in sustainability-related projects. Before joining Labcorp, Sangita worked in different industries including Government, Corporate, and Academia. Ms. Rana is known nationally and internationally in the water industry for her pioneering work in sustainable Infrastructure and water delivery systems. She led the sustainability aspects for a $2.5 billion integrated pipeline water delivery project that received the 2016 Envision Platinum award from the Institute of Sustainable Infrastructure (ISI). This was the first transmission system to receive the highest level of achievement (Platinum) in the US from ISI. As recognition of Sangita’s relentless work and contribution to the sustainable infrastructure sector in the US, she was elected as a chairperson of the American Water Works Association (AWWA) Sustainable Infrastructure Committee in 2020. Sangita’s work has been published in several journals and articles including Water Research Foundation, and Advances in Water.